top of page

Navigating Company Types: A Comprehensive Guide to Incorporation Options in Singapore

21 March 2024

Editor: ET

Determining the appropriate company type is a foundational step in the company incorporation process in Singapore.

Choosing the right company type is a critical decision when incorporating a business in Singapore. With seven distinct options available, understanding the nuances of each is essential for aligning with your business objectives and regulatory requirements.

This article, enriched with insights from, explores the various company types and their implications, empowering entrepreneurs to make informed decisions in their company incorporation journey.

1. Exempt Private Company:

An exempt private company offers certain advantages, including exemptions from statutory audit requirements and the ability to have up to 20 shareholders. This option is popular among small to medium-sized enterprises seeking flexibility and simplified compliance obligations.

2. Private Company Limited by Shares:

A private company limited by shares is the most common type of company in Singapore. It offers limited liability protection to its shareholders, restricts share transferability, and prohibits public offering of shares. This structure is ideal for small to medium-sized businesses looking for simplicity and flexibility in ownership and management.

3. Public Company Limited by Shares:

A public company limited by shares can offer its shares to the public and has more stringent regulatory requirements compared to private companies. It is suitable for businesses seeking to raise capital from the public market and willing to comply with additional disclosure and governance obligations.

4. Public Company Limited by Guarantee:

A public company limited by guarantee is commonly used for non-profit organizations, charities, and social enterprises. Instead of shareholders, it has members who guarantee to contribute a nominal amount in the event of winding up. This structure emphasizes social impact and mission-driven objectives.

5. Unlimited Private Company:

An unlimited private company does not have a limit on its liability, meaning shareholders are personally liable for the company's debts and obligations. This structure offers flexibility in capital management and may be suitable for specific business models or investment arrangements.

6. Unlimited Exempt Private Company:

Similar to an exempt private company, an unlimited exempt private company enjoys exemptions from certain compliance requirements. However, it also carries unlimited liability for its shareholders, making it a less common choice among entrepreneurs.

7. Unlimited Public Company:

An unlimited public company is rare and generally not recommended due to the unlimited liability exposure for shareholders. It offers no limit to the liability of its members, which can pose significant risks to personal assets.

At, we understand that choosing the right company type is a pivotal decision that impacts the legal, operational, and financial aspects of your business. Our insights go beyond the surface, guiding entrepreneurs through the complexities of company incorporation with clarity and expertise. As trusted advisors, we empower businesses to navigate regulatory requirements and optimize their corporate structures for long-term success.

Determining the appropriate company type is a foundational step in the company incorporation process in Singapore. Whether prioritizing limited liability protection, flexibility in ownership, or compliance obligations, each company type offers distinct advantages and considerations. With insights from, entrepreneurs can navigate these options with confidence, laying the groundwork for a resilient and successful business venture.

Explore the diverse landscape of company types in Singapore with expert guidance from From limited liability protection to strategic flexibility, discover the option that best suits your business objectives and sets the stage for enduring success.

7 views0 comments


bottom of page